jane123 Posted August 19, 2003 Posted August 19, 2003 It is mandatory that all partners participate in the plan- including silent partners?
mbozek Posted August 20, 2003 Posted August 20, 2003 NO- plans are only prevented from discriminating in favor of HCEs which includes more than 5% owners. A plan can exclude HCEs without violating the non discrimination rules. mjb
R. Butler Posted August 20, 2003 Posted August 20, 2003 Do the partners want to make a one time irrevocable election not to participate or are specific partners just not wanting to participate for this year?
jane123 Posted August 20, 2003 Author Posted August 20, 2003 One partner wants the partnership to establish the plan, but exclude all partners , except himself, from participating.
chris Posted August 20, 2003 Posted August 20, 2003 Sounds like an arrangement the other partners would be sure to vote for, ie. sharing the expense of putting something in place that they don't even benefit from....
Blinky the 3-eyed Fish Posted August 20, 2003 Posted August 20, 2003 I am betting they won't share that expense. "What's in the big salad?" "Big lettuce, big carrots, tomatoes like volleyballs."
david rigby Posted August 20, 2003 Posted August 20, 2003 Safe to assume that this is not an "equal partnership"? I'm a retirement actuary. Nothing about my comments is intended or should be construed as investment, tax, legal or accounting advice. Occasionally, but not all the time, it might be reasonable to interpret my comments as actuarial or consulting advice.
Guest cease Posted August 25, 2003 Posted August 25, 2003 Regardless of HCE or NHCE, doesn't the plan document have to include a provision to allow for waiver of participation? For example, there are prototype documents that do not contain a waiver provision.
Blinky the 3-eyed Fish Posted August 25, 2003 Posted August 25, 2003 The answer is the same as in the commercial for that fancy mustard. Q. Do you have any Grey Pupon? "What's in the big salad?" "Big lettuce, big carrots, tomatoes like volleyballs."
WDIK Posted August 25, 2003 Posted August 25, 2003 We need more references to upscale condiments on these message boards. ...but then again, What Do I Know?
Belgarath Posted August 25, 2003 Posted August 25, 2003 Blinky, I just wanted you to know that in addition to your administrative talents, you just saved my life. I have to make a mustard hollandaise tonight, and we're out of Grey Poupon, which I need to pick up after work. And if I'd forgotten, and couldn't make the sauce, my wife would kill me! Once again, these message boards prove their worth!
R. Butler Posted August 25, 2003 Posted August 25, 2003 Are you putting your mustard hollandaise sauce over fish? Perhaps your dining on one of Blinky's relatives? What kind of fish are you Blinky? Perhaps I have eaten one of your relatives.
Blinky the 3-eyed Fish Posted August 25, 2003 Posted August 25, 2003 Nobody ever told me what type of fish I am (I have a fish brain that doesn't allow me to figure it out), but I discourage eating my cousins in the waters of the world. "What's in the big salad?" "Big lettuce, big carrots, tomatoes like volleyballs."
chris Posted August 25, 2003 Posted August 25, 2003 Cease -- The plan document would have to address/allow for a participant to elect out. I have seen doc's in the past where it could be done on a plan year by plan year basis, whereas other doc's allow for a one time irrevocable election not to participate (gets you out of the potential CODA issue).
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